|
|
Customer Acquisition Cost
Definition
The cost associated with acquiring a new customer.
Information
Customer acquisition cost is calculated by dividing total acquisition expenses by total new customers. However, there are different opinions as to what constitutes an acquisition expense. For example, rebates and special discounts do not represent an actual cash outlay, yet they have an impact on cash (and, presumably, on the customer).
Acquisition costs vary across industries and mediums. When acquisition data is available, try to determine if you are comparing apples to apples, so to speak. This is not always easy, as customer acquisition data can be scarce, and the methodology is often sketchy.
Synonyms
often shortened to acquisition cost
Related Terms
conversion rate,
cost-per-action (CPA),
cost-per-click (CPC), CPM
|
Ads by
ChesterCountyWeb
Fine Food and Fun
A guide to the Best of the Burbs!
www.finefoodandfun.com
Instant
Imprints
The Image People
www.instantimagepa.com
Donnolo
Florist
Distinctive florals and gifts
www.donnolo.com
Black Lab
Bistro
A unique dining experience
http://www.blacklabbistro.com
Penn Rise
Benefits
See what's on the horizon
www.pennrisebenefits.com
|
